Commentary Magazine


Topic: Solyndra

Obama’s Hypocritical Access Sale

To say that Barack Obama has never practiced what he preached about campaign finance reform is the understatement of the century. The president rode to office and then was re-elected with the help of a massive influx of private cash, all the while saying that money was the root of all political evil. He routinely denounces the wealthy and the influence of big business while taking their money and selling access to the White House to the same Wall Street moguls to whom he accuses Republicans of being in thrall.

Even when practiced at such Olympian levels, hypocrisy is not against the law. Thus the news that a new pro-Obama 501(c)(4), organized by the rump of the Obama re-election campaign, is gearing up to not only advocate for the president’s policies but to reward donors with access to the White House and the president himself is not so much a question of legality but a matter of setting a new low in ethical standards. As even the New York Times noted in an article published this weekend, the access sale being conducted by the president’s Organizing for Action group crosses a line that most groups that similarly label themselves as educational rather than political don’t:

Giving or raising $500,000 or more puts donors on a national advisory board for Mr. Obama’s group and the privilege of attending quarterly meetings with the president, along with other meetings at the White House. Moreover, the new cash demands on Mr. Obama’s top donors and bundlers come as many of them are angling for appointments to administration jobs or ambassadorships. …

Many traditional advocacy organizations, including the Sierra Club and the National Rifle Association, are set up as social welfare groups, or 501(c)(4)’s in tax parlance. But unlike those groups, Organizing for Action appears to be an extension of the administration, stocked with alumni of Mr. Obama’s White House and campaign teams and devoted solely to the president’s second-term agenda.

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Did the GOP Really Leave Gary Johnson?

When libertarians (and Libertarians) object that despite the popularity of some of their causes they are not taken seriously as a voting constituency by the two major American parties, it’s easy to see where they’re coming from. Republicans and Democrats seem to hate the TSA’s invasive and pervasive screening process; opposition to the drug war is growing in both camps; and the popularity of gay marriage on the left and opposition to Obamacare on the right would seem to remind voters on both sides of the political divides of their libertarian streaks.

Yet they are unloved. Instead of finding the Koch brothers convenient allies given their social libertarianism and dedication to funding the arts, the left has turned the Kochs into the villains of the election cycle, offering some of the most ignorant and self-defeating politics of personal destruction in years. And now Gary Johnson, the Libertarian candidate for president, claims to be shut out by the GOP and feels that his voice has been trampled by Republicans who fear he could cut into Mitt Romney’s vote share in several key states. The New York Times reports:

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The Free Market Is Crushing CO2 Emissions

Anti-CO2 activists may have to find something else to give their lives meaning. The AP reports that “the amount of carbon dioxide being released into the atmosphere in the U.S. has fallen dramatically to its lowest level in 20 years, and government officials say the biggest reason is that cheap and plentiful natural gas has led many power plant operators to switch from dirtier-burning coal.”

So if you’ve been championing government action as the last best hope to save humankind from the big broil, you too should find a hobby: “Many of the world’s leading climate scientists didn’t see the drop coming, in large part because it happened as a result of market forces rather than direct government action against carbon dioxide.”

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Democrats’ Convention of Hypocrisy

The “hope and change” mantra that lifted Barack Obama to the presidency in 2008 raised unrealistic assumptions about his administration that were bound to be debunked after a few years in office. That’s why his re-election campaign strategy is based on demonizing his opponents rather than running on a record of all the “change” he effected. Yet there are some vestiges of the messianic tone of his 2008 run that remain, and one of them is a ban on corporate sponsors at the 2012 Democratic National Convention. The ban is a holdover from the rhetoric of four years ago that asserted the Obama candidacy would bring an end to the way lobbyists and big business attempt to influence politics. This was a joke even four years ago as the Democrat raked in record contributions from Goldman Sachs and other Wall Street titans and corporate giants. But the 2012 convention in Charlotte will be free of such sponsors, allowing the Democrats to claim they are faithful to their ideals.

However, as the New York Times reports today, the leading local booster and organizer of the Charlotte convention just happens to be the CEO of the nation’s largest energy company, which has been a major beneficiary of the president’s trillion-dollar stimulus boondoggle. Duke Energy CEO James E. Rogers claims that he and his company are going all out to help the Democratic jamboree as a matter of local pride. But the company’s costly contributions to the event have raised serious issues about the way it stands to benefit from Obama’s policies, making a mockery of the Democrats’ pose as the opponents of corporate influence. Rather than a tribute to the party’s stand against influence peddling, the lack of other corporate sponsors merely illustrates President Obama’s ongoing hypocrisy about big business and ethics.

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Obama’s Off Key Farm Subsidies Pitch

The Obama campaign is in full attack mode this week, and President Obama’s campaign speech in Iowa today shows the level of cynicism in the Democrats’ attempt to bash Republican vice presidential candidate Paul Ryan. While stumping in the Hawkeye state, the president criticized Ryan for blocking a farm aid bill that is before the Congress and which he described as vital to helping rural communities survive both drought and an economic downturn. But does Obama really think voters are dumb enough to believe this?

The president’s Agriculture Reform, Food and Jobs Act isn’t a legislative equivalent of a farm aid concert. It is a mini-stimulus package aimed at playing favorites in the agriculture industry and represents exactly the sort of massive government spending that both sides in last year’s budget impasse agreed could not be sustained. But the farm bill isn’t just yet another example of the Democrats’ penchant for crony capitalism; it is also an attempt to preserve farm subsidies that virtually everyone in Washington knows are an unsustainable boondoggle that represent the worst in patronage politics. Far from the president’s championing of this issue being part of a coherent plan to demonize Ryan, his backing of farm subsidies merely illustrates why Ryan’s reformist ideas are needed now more than ever.

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Emails Show Extent of Solyndra’s Government Dependence

The House Energy and Commerce Committee released some brutally damaging emails for the Obama administration this morning, showing how reliant failed solar energy company Solyndra was on the government to stay afloat toward the end. As the Washington Post reports, the White House’s Office of Management and Budget found that it would be financially safer for the government to cut its losses in Solyndra rather than green-lighting additional loans — and yet the administration continued to gamble on the flailing company:

As the Obama administration moved last year to bail out Solyndra, the embattled flagship of the president’s initiative to promote alternative energy, a White House budget analyst calculated that millions of taxpayer dollars might be saved by cutting the government’s losses, shuttering the company immediately and selling its assets, according to a congressional investigation.

Even so, senior officials in the White House’s Office of Management and Budget did not discourage the Energy Department from proceeding with its plan to restructure a federal loan to Solyndra — a move that put private investors ahead of taxpayers for repayment if the company closed, the investigation by Republicans on the House Energy and Commerce Committee found.

The White House continues to deny there was any political favoritism involved, despite Obama’s cozy relationship with Solyndra execs and one of its main private backers, George Kaiser. But why else would the administration take such a financial risk on a likely loser, despite the findings from its own OMB? Why restructure a loan to let private investors get repaid before taxpayers? From an objective standpoint, the decision should be cut-and-dry. Even if the Obama administration didn’t care about squandering taxpayer money, you would think it would at least take it out of a high-risk investment when it had the option.

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Konarka Is Not Romney’s Solyndra

After trying and failing to pin the Solyndra debacle on the Bush administration, the left is trying another dubious spread-the-guilt tactic. Think Progress breathlessly reports that a solar company that Mitt Romney gave a government grant to as governor has just declared bankruptcy:

On Thursday, Mitt Romney campaigned at the headquarters of Solyndra — the first renewable energy company to receive a federal loan under the stimulus — and reiterated his debunked claims that its bankruptcy symbolized the corruption and cronyism of the Obama administration. But just one day later, a solar panel developer “that landed a state loan from Mitt Romney when he was Massachusetts governor” went belly up, the Boston Herald reports, creating an inconvenient storyline for the GOP presidential nominee.

The company, Konarka Technologies, “filed for Chapter 7 bankruptcy protection and will cease operations, lay off its 85 workers and liquidate.”

Here’s a rundown of the case: As governor, Romney granted Konkara a $1.5 million state subsidy, about 350 times less than the half-billion dollar loan guarantee the Obama administration gave Solyndra. Konarka declared bankruptcy nearly a decade after Romney’s grant and five years after he left office, while the Obama administration’s investment tanked within two years.

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Republicans Aren’t Rolling Over

Obama chief strategist David Axelrod shouldn’t have been surprised to see that a lot of Republicans turned up at the kickoff at the Statehouse in Boston for his campaign event tearing down Mitt Romney’s record as governor of Massachusetts. Though the event was supposedly a secret, it reportedly was leaked on Twitter, and a GOP response team was quick to react. Romney supporters chanting “Solyndra” — a reference to the failed energy company that was the recipient of so much Obama administration largesse, heckled Axelrod, turning the gathering into a bipartisan shouting match rather than an Obama show. The same day, Romney staged an event at the Fremont, California headquarters of Solyndra in a carefully planned attempt to upstage the Democrat’s efforts to seize control of the news cycle.

While all of this can and should just be put down to the usual give and take of a hotly contested presidential campaign, it does show that a lot has changed since the last time Axelrod was running a national campaign. Whereas in 2008, the campaign of John McCain was clearly outmatched in terms of technology and smarts by the “hope and change” juggernaut that put Barack Obama in the White House, in 2012 the GOP is determined not to roll over for the Democrats. If today is any indication of how things will go the next five months, Axelrod is in for a long, hard slog against an opponent capable of nimbly returning serve and scoring points even on days that the Chicago campaign guru thought would belong to him.

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GOP Rolls Out Attack Ad on Equity Failures

American Crossroads is out with a new ad today pushing back on President Obama’s Bain Capital attacks by assailing his own epic “public equity” failures, such as Solyndra and the auto bailout:

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Barack Obama’s Childish Solyndra Game

Barack Obama is at it again.

The man who proudly and publicly touted his support of Solyndra is now trying to inartfully distance himself from it. Solyndra was once the poster child for the stimulus package; now we’re told to understand “this was not our program per se.” Oh yes it was, Mr. President. Oh yes it was.

The RNC has a short, devastating ad here.

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Obama’s Energy Secretary Gives Himself an A- On Gas Prices

How out of touch is this administration with the struggles of the average American? This out of touch:

Rep. Darrell Issa (R-CA): In controlling the cost of gasoline at the pump, do you give yourself an A-?
Secretary of Energy Steven Chu: Well, the tools that we have at our disposal are limited, but I would say I would give myself a little higher than that. Since I became Secretary of Energy I’ve been doing everything I can to get long-term solutions.

The statement, made today to the House Committee on Oversight and Government Reform, will be general election gold for the GOP, played while images of rising gas prices across the country flicker across the screen.

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Obama, the Self-Proclaimed Visionary

President Obama has received some well-deserved mockery for his factually inaccurate swipes at President Rutherford B. Hayes (yes, really) and Christopher Columbus’s contemporaneous critics. But his comments, made during his campaign-rally-esque energy address yesterday, are also revealing because of what they indicate about Obama himself. From his speech:

“Of course, we’ve heard this kind of thinking before.  If some of these folks were around when Columbus set sail, they must have been founding members of the Flat Earth Society.  … There always have been folks who are the naysayers and don’t believe in the future, and don’t believe in trying to do things differently.  One of my predecessors, Rutherford B. Hayes, reportedly said about the telephone, ‘It’s a great invention, but who would ever want to use one?’ That’s why he’s not on Mt. Rushmore because he’s looking backwards.  He’s not looking forwards.  He’s explaining why we can’t do something, instead of why we can do something.”

In Obama’s mind, his critics aren’t just wrong, they’re idiots. Obama, in contrast, is a grand visionary of epic capacity – the type of man who in the past would have ended up on Mt. Rushmore or captaining the voyage that led to the discovery of America.

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